While for the corporate sector, the appraisal season has begun, not all seems well at Cognizant.

As per a report in the Economic Times, the company may fire more than 6,000 employees this year.

"As part of our workforce management strategy, we conduct regular performance reviews to ensure we have the right employee skill sets necessary to meet client needs and achieve our business goals. This process results in changes, including some employees transitioning out of the company," TOI quoted a Cognizant spokesperson.

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While underperformance could be the reason for some, mostly, it's the other way round. Companies, in order to cut costs, increase the targets of employees drastically to a level which they know not everyone can recah. And then when employees fail to achieve the huge targets, they are called to be 'underperformers', thus giving a reason to the companies to lay off employees in a way that it does not become any kind of liability on the company.

The reason stems also from the fact that with more & more automation entering the IT industry, the companies are looking at cutting costs which means employees will be let off jobs.

As per reports, the 6,000 employees that the company is planning to lay off will constitute the bottom 1% of the employees on the performance scale. Globally, Cognizant has 2,60,200 employees out of which 1,88,000, 72% are based in India.